Policy Reforms, AfCFTA Boost Nigeria’s Intra-African Trade To $9bn – Afreximbank

Nigeria’s trade with other African countries rose to $9.02 billion in 2025 from $7.47 billion recorded in the previous year, driven by policy reforms and opportunities created by the African Continental Free Trade Area (AfCFTA), the African Export-Import Bank (Afreximbank) has said.

According to the Afreximbank Africa Trade Report 2026 titled “Leveraging Geopolitics for Trade and Industrialisation in Global Africa,” Nigeria strengthened its position in intra-African commerce during the period, supported by improved trade policies, enhanced logistics infrastructure and increased export activities.

The report stated that the value of Nigeria’s trade with the continent increased from $7.47 billion to $9.02 billion in 2025, underscoring the country’s growing integration into continental markets.

Afreximbank noted that crude oil remained the dominant component of Nigeria’s exports to African markets. However, it said the country also recorded increased exports of non-oil manufactured products, including chemicals, plastics and rubber products, processed agricultural goods and foodstuffs, as well as urea and cement.

The report said Nigeria intensified efforts to deepen commercial relations across the continent by leveraging opportunities offered by the AfCFTA to expand market access and reduce trade costs for domestic exporters.

Highlighting key policy milestones that supported trade growth, the report noted that the gazetting of Nigeria’s Provisional Schedule of Tariff Concessions in April enabled Nigerian products to qualify for preferential tariffs across AfCFTA member states, while also granting reciprocal access for imports from participating African countries.

According to Afreximbank, implementation of the tariff concessions is expected to enhance the competitiveness of Nigerian products in African markets and open up new opportunities for exporters seeking to diversify beyond traditional export destinations.

The bank also identified improvements in logistics as a major driver of trade expansion, noting that new initiatives, including a dedicated air cargo corridor linking Nigeria to East and Southern Africa, are helping to reduce transportation costs associated with intra-African trade.

The development comes amid growing efforts by African economies to strengthen regional trade under the AfCFTA framework. The report revealed that intra-African trade volumes expanded by about 5.5 per cent in 2025, supported by improved implementation of the trade agreement, rising regional demand and enhanced trade facilitation measures.

While mineral fuels, metals and other primary commodities continued to account for a significant share of intra-African trade, Afreximbank observed a gradual shift towards higher value-added products.

It stated that manufactured and semi-processed goods accounted for a larger share of intra-African trade in 2025, reflecting a gradual structural transition from commodity dependence towards greater diversification.

The report further pointed to the emergence of deeper regional value chains, particularly in agro-processing and cement production, trends it said could create additional opportunities for Nigerian manufacturers.

On the domestic economy, Afreximbank noted that Nigeria benefited from improved macroeconomic conditions during the year.

“In Nigeria, favourable domestic conditions, including higher oil production, improved investor confidence and an accommodative fiscal stance, helped sustain growth at 4.0 per cent in 2025,” the report stated.

However, the bank noted that although Africa’s economic growth outperformed the global average, the continent’s expansion remained below its historical average of about five per cent recorded between 2011 and 2019, underscoring the need for deeper industrialisation and stronger regional trade integration.